Nigeria’s Total Public Debt Rises to ₦121.67 Trillion ($91.46 Billion) as of March 31, 2024: DMO Report
The Debt Management Office (DMO) of Nigeria has announced that the country’s total public debt has reached a staggering ₦121.67 trillion ($91.46 billion) as of March 31, 2024. This marks a significant increase of ₦24.33 trillion from the previous total recorded at the end of December 2023.
The surge in debt is attributed to both domestic and external borrowings by the Federal Government, the 36 state governments, and the Federal Capital Territory (FCT). The DMO’s report reveals that Nigeria’s domestic debt now stands at ₦65.65 trillion ($46.29 billion), while the external debt is ₦56.02 trillion ($42.12 billion).
The rapid increase in public debt is largely due to new borrowing to partially finance the 2024 Budget deficit and the securitization of a portion of the ₦7.3 trillion Ways and Means Advances at the Central Bank of Nigeria (CBN).
Despite the rising debt, the DMO remains optimistic about future debt sustainability, contingent on improvements in government revenue. The government’s ability to manage its borrowing and stimulate revenue generation will be critical in navigating these fiscal pressures.
Economic analysts warn that the escalating debt and currency depreciation could pose significant challenges to Nigeria’s economic stability. As Nigeria grapples with these economic realities, the focus remains on finding sustainable solutions to manage the growing debt burden while fostering economic growth and stability.
The increase in debt comes at a crucial time as President Bola Tinubu prepares to present the 2024 Supplementary Budget to the National Assembly. This follows the President’s approval of the ₦28.7 trillion 2024 Appropriation Bill, which set ambitious targets for the country’s economic growth.
As the government works to address these challenges, all eyes will be on Nigeria’s ability to manage its debt and stimulate revenue generation to ensure long-term economic stability and growth.
